Class Action Fairness Act

News & Analysis as of

Employment Flash (June 2014)

In This Issue: - NLRB Recess Appointments Unconstitutional - SEC Brings First-Ever Employment Retaliation Claim - EEOC Challenges Employer Severance Agreements - New York State Transportation Industry...more

The Cost of Doing Nothing? Injunctive Relief and the Amount in Controversy

While plaintiffs in class action cases ordinarily seek monetary damages, many incorporate claims for injunctive or declaratory relief as well. Injunctive and declaratory relief can complicate matters for courts when it comes...more

Supreme Court to Address Standard of Removal Under the Class Action Fairness Act

Last year in Standard Fire v. Knowles, 133 S. Ct. 1345 (2013), the U.S. Supreme Court held that class action plaintiffs could not avoid removal to federal court under the Class Action Fairness Act of 2005 (CAFA) by...more

Recent Cases of Note

District of New Jersey Denies Class Certification in Title Insurance Case on Grounds of Ascertainability - In the latest in a series of decisions from courts in the Third Circuit regarding ascertainability of a...more

Federal Court Clarifies CAFA’s Jurisdictional Amount in State PAGA Cases

A judge of the U.S. District Court for the Central District of California recently issued a pro-employer ruling with regard to the jurisdictional minimum amount in controversy required by the Class Action Fairness Act (CAFA)...more

The Class Action Chronicle - Summer 2014

In This Issue: - Avoiding Class Certification Through an Offer of Judgment - CLASS CERTIFICATION DECISIONS: ..Decisions Granting Motions to Strike ..Decisions Denying Motions to Strike...more

The Eleventh Circuit Reverses CAFA-Based Remand Order

On June 5, 2014, the Eleventh Circuit decided in favor of Fifth Third Bank on its appeal of a district court order remanding a putative class action to Florida state court. The basis for the remand order had been the...more

Winding the Removal Clock: The Second Circuit Clarifies The Deadline for Removal Under the Class Action Fairness Act

When faced with a state court lawsuit, a critical consideration for any defendant is the forum in which to litigate – whether to remain in state court or, if possible, remove the case to federal court. In the case of a...more

Courts Find Removal Is Not Permitted Under CAFA Where Plaintiff Did Not Plead A Class Action Under Rule 23 Or Comparable State...

District Courts continue to shape the boundaries of CAFA jurisdiction in suits that are not pleaded as class actions. For example, the District Court for the Eastern District of Louisiana held that defendants could not...more

A Class Action By Any Other Name Is Still A Class Action And Subject To CAFA

The U.S. District Court for the Eastern District of Missouri denied a plaintiff’s motion to remand a collection against insurers brought on behalf of a certified class that had obtained a judgment in a separate action against...more

Class Action Can’t Be Remanded To State Court Just Because The Plaintiff Says It’s Uncertifiable

When was the last time you saw a plaintiffs’ lawyer seeking to represent a class argue that the class couldn’t be certified? Readers might wonder whether this is a trick question. ...more

Supreme Court Accepts Certiorari In CAFA Removal Case

On April 7, 2014, the Supreme Court accepted certiorari review in Dart Cherokee Basin Operating Company LLC v. Owens, No. 13-719, to resolve a circuit split regarding whether the Class Action Fairness Act requires a removing...more

Seventh Circuit Reverses Remand Order Based On Supreme Court’s Knowles Decision

In what may become a more common trend in CAFA litigation based on the Supreme Court’s decision in Standard Fire Ins. Co. v. Knowles, ––– U.S. ––––, 133 S.Ct. 1345 (2013), the Seventh Circuit reversed the district court’s...more

All or Nothing? The U.S. Supreme Court to Address Whether Evidence In Support of Removal Must Be Submitted with the Notice of...

On April 7, 2014, the United States Supreme Court granted the petition for writ of certiorari in Dart Cherokee Basin Operating Co., LLC v. Owens, No. 13-719 (“Dart Cherokee”), to address whether a defendant must include...more

Supreme Court To Decide Evidentiary Requirements for Removal Notices in Class Actions

The U.S. Supreme Court has agreed to review the issue of what, if any, evidence a defendant must present in a notice of removal to remove a case to federal court based on the Class Action Fairness Act (CAFA). In granting the...more

Supreme Court To Decide CAFA Pleading Standard

On April 7th, the Supreme Court granted certiorari in Dart Cherokee Basin Operating Company, LLC v. Owens, a case originating from the Tenth Circuit. In that case, the Court will resolve a circuit split over the pleading...more

Must Claims Severed From A CAFA Class Action Be Remanded To State Court? The Fifth Circuit Says No.

Following Hurricane Katrina, the State of Louisiana filed a class action to recover under homeowners’ insurance policies that the state had received by assignment through a disaster relief program. The insurers successfully...more

Supreme Court To Decide Whether All Evidence Supporting Removal Under The Class Action Fairness Act Must Be Submitted With The...

To remove a civil action from state court to federal court, the defendant must “file … a notice of removal … containing a short and plain statement of the grounds for removal.” 28 U.S.C. § 1446(a). Today, the Supreme Court...more

Dart Cherokee: SCOTUS to Hear Case on CAFA Pleading Requirements

The Supreme Court will now decide whether a 2006 Seventh Circuit decision on Class Action Fairness Act pleading requirements was correct. The Court granted certiorari today in a case that will resolve whether defendants...more

Employment Law

PAGA Suit Belongs in State, Not Federal, Court Says Ninth Circuit - Why it matters: A wage and hour suit brought under California’s Private Attorney General Act (PAGA) belongs in state , not federal , court, the Ninth...more

Knowles Gives Employer Second Chance To Seek And Win Removal

The Ninth Circuit Court of Appeals held that neither a damages waiver nor the passage of more than 30 days after receipt of a complaint prevented an employer’s removal under CAFA. A putative class of California store...more

Plaintiffs Can’t Evade Removal Under Class Action Fairness Act By Suing For Only Declaratory Relief

Over the years, the plaintiffs’ bar has used a wide variety of stratagems to try to prevent defendants from removing class actions to federal court. We’ve previously blogged about several of them. A recent Eleventh Circuit...more

Parens Patriae Actions Are Not Removable Under CAFA: A Unanimous Decision of the United States Supreme Court Has Broad...

The United States Supreme Court delivered a unanimous win to state attorneys general earlier this year. In January, the Court held in Mississippi ex rel. Hood v. AU Optronics, 134 S. Ct. 736 (2014), that parens patriae suits...more

Can You Keep Up? Emergence of CFPB and Significant Developments Transform Consumer Finance Landscape

In the wake of the 2008 financial crisis, Congress passed significant financial system reform legislation, the Dodd-Frank Act, which created a new regulator of financial institutions, the Consumer Financial Protection Bureau...more

Ninth Circuit “Chases” Away Another Option for Removing PAGA Actions to Federal Court

In yet another setback for employers seeking to remove California wage and hour cases to federal court, the Ninth Circuit held that the federal Class Action Fairness Act (“CAFA”) provides federal courts with no basis to...more

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